×




MAGAZ LUIZA ON (MGLU3) SWOT Analysis / TOWS Matrix / MBA Resources

Introduction to SWOT Analysis

SWOT Analysis / TOWS Matrix for MAGAZ LUIZA ON (Brazil)


Based on various researches at Oak Spring University , MAGAZ LUIZA ON is operating in a macro-environment that has been destablized by – banking and financial system is disrupted by Bitcoin and other crypto currencies, competitive advantages are harder to sustain because of technology dispersion, increasing government debt because of Covid-19 spendings, cloud computing is disrupting traditional business models, there is increasing trade war between United States & China, geopolitical disruptions, central banks are concerned over increasing inflation, challanges to central banks by blockchain based private currencies, talent flight as more people leaving formal jobs, etc



12 Hrs

$59.99
per Page
  • 100% Plagiarism Free
  • On Time Delivery | 27x7
  • PayPal Secure
  • 300 Words / Page
  • Buy Now

24 Hrs

$49.99
per Page
  • 100% Plagiarism Free
  • On Time Delivery | 27x7
  • PayPal Secure
  • 300 Words / Page
  • Buy Now

48 Hrs

$39.99
per Page
  • 100% Plagiarism Free
  • On Time Delivery | 27x7
  • PayPal Secure
  • 300 Words / Page
  • Buy Now







Introduction to SWOT Analysis of MAGAZ LUIZA ON


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that MAGAZ LUIZA ON can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the MAGAZ LUIZA ON, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which MAGAZ LUIZA ON operates in.

According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.




SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix


SWOT analysis of MAGAZ LUIZA ON can be done for the following purposes –
1. Strategic planning of MAGAZ LUIZA ON
2. Improving business portfolio management of MAGAZ LUIZA ON
3. Assessing feasibility of the new initiative in Brazil
4. Making a Retail (Department & Discount) sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of MAGAZ LUIZA ON




Strengths of MAGAZ LUIZA ON | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of MAGAZ LUIZA ON are -

Superior customer experience

– The customer experience strategy of MAGAZ LUIZA ON in Retail (Department & Discount) industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.

Organizational Resilience of MAGAZ LUIZA ON

– The covid-19 pandemic has put organizational resilience at the centre of everthing MAGAZ LUIZA ON does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.

Highly skilled collaborators

– MAGAZ LUIZA ON has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Retail (Department & Discount) industry. Secondly the value chain collaborators of MAGAZ LUIZA ON have helped the firm to develop new products and bring them quickly to the marketplace.

Sustainable margins compare to other players in Retail (Department & Discount) industry

– MAGAZ LUIZA ON has clearly differentiated products in the market place. This has enabled MAGAZ LUIZA ON to fetch slight price premium compare to the competitors in the Retail (Department & Discount) industry. The sustainable margins have also helped MAGAZ LUIZA ON to invest into research and development (R&D) and innovation.

Training and development

– MAGAZ LUIZA ON has one of the best training and development program in Services industry. The effectiveness of the training programs can be measured in – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.

Diverse revenue streams

– MAGAZ LUIZA ON is present in almost all the verticals within the Retail (Department & Discount) industry. This has provided MAGAZ LUIZA ON a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.

Low bargaining power of suppliers

– Suppliers of MAGAZ LUIZA ON in the Services sector have low bargaining power. MAGAZ LUIZA ON has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps MAGAZ LUIZA ON to manage not only supply disruptions but also source products at highly competitive prices.

High switching costs

– The high switching costs that MAGAZ LUIZA ON has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.

Digital Transformation in Retail (Department & Discount) industry

- digital transformation varies from industry to industry. For MAGAZ LUIZA ON digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. MAGAZ LUIZA ON has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.

Analytics focus

– MAGAZ LUIZA ON is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the Retail (Department & Discount) industry. The technology infrastructure of Brazil is also helping it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.

Cross disciplinary teams

– Horizontal connected teams at the MAGAZ LUIZA ON are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.

Learning organization

- MAGAZ LUIZA ON is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at MAGAZ LUIZA ON is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at MAGAZ LUIZA ON emphasize – knowledge, initiative, and innovation.






Weaknesses of MAGAZ LUIZA ON | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of MAGAZ LUIZA ON are -

Low market penetration in new markets

– Outside its home market of Brazil, MAGAZ LUIZA ON needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Lack of clear differentiation of MAGAZ LUIZA ON products

– To increase the profitability and margins on the products, MAGAZ LUIZA ON needs to provide more differentiated products than what it is currently offering in the marketplace.

Capital Spending Reduction

– Even during the low interest decade, MAGAZ LUIZA ON has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the Retail (Department & Discount) industry using digital technology.

Products dominated business model

– Even though MAGAZ LUIZA ON has some of the most successful models in the Retail (Department & Discount) industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. MAGAZ LUIZA ON should strive to include more intangible value offerings along with its core products and services.

Interest costs

– Compare to the competition, MAGAZ LUIZA ON has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.

High bargaining power of channel partners in Retail (Department & Discount) industry

– because of the regulatory requirements in Brazil, MAGAZ LUIZA ON is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the Retail (Department & Discount) industry.

Slow to strategic competitive environment developments

– As MAGAZ LUIZA ON is one of the leading players in the Retail (Department & Discount) industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Retail (Department & Discount) industry in last five years.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, MAGAZ LUIZA ON is slow explore the new channels of communication. These new channels of communication can help MAGAZ LUIZA ON to provide better information regarding Retail (Department & Discount) products and services. It can also build an online community to further reach out to potential customers.

High dependence on existing supply chain

– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of MAGAZ LUIZA ON supply chain. Even after few cautionary changes, MAGAZ LUIZA ON is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left MAGAZ LUIZA ON vulnerable to further global disruptions in South East Asia.

Increasing silos among functional specialists

– The organizational structure of MAGAZ LUIZA ON is dominated by functional specialists. It is not different from other players in the Retail (Department & Discount) industry, but MAGAZ LUIZA ON needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help MAGAZ LUIZA ON to focus more on services in the Retail (Department & Discount) industry rather than just following the product oriented approach.

Need for greater diversity

– MAGAZ LUIZA ON has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.




MAGAZ LUIZA ON Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The opportunities of MAGAZ LUIZA ON are -

Remote work and new talent hiring opportunities

– The widespread usage of remote working technologies during Covid-19 has opened opportunities for MAGAZ LUIZA ON to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for MAGAZ LUIZA ON to hire the very best people irrespective of their geographical location.

Loyalty marketing

– MAGAZ LUIZA ON has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.

Harnessing reconfiguration of the global supply chains

– As the trade war between US and China heats up in the coming years, MAGAZ LUIZA ON can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help MAGAZ LUIZA ON to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.

Building a culture of innovation

– managers at MAGAZ LUIZA ON can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Retail (Department & Discount) industry.

Using analytics as competitive advantage

– MAGAZ LUIZA ON has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Retail (Department & Discount) sector. This continuous investment in analytics has enabled MAGAZ LUIZA ON to build a competitive advantage using analytics. The analytics driven competitive advantage can help MAGAZ LUIZA ON to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.

Leveraging digital technologies

– MAGAZ LUIZA ON can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.

Buying journey improvements

– MAGAZ LUIZA ON can improve the customer journey of consumers in the Retail (Department & Discount) industry by using analytics and artificial intelligence. It can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.

Redefining models of collaboration and team work

– As explained in the weaknesses section, MAGAZ LUIZA ON is facing challenges because of the dominance of functional experts in the organization. MAGAZ LUIZA ON can utilize new technology in the field of Retail (Department & Discount) industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.

Changes in consumer behavior post Covid-19

– consumer behavior has changed in the Retail (Department & Discount) industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. MAGAZ LUIZA ON can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. MAGAZ LUIZA ON can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.

Low interest rates

– Even though inflation is raising its head in most developed economies, MAGAZ LUIZA ON can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.

Finding new ways to collaborate

– Covid-19 has not only transformed business models of companies in Retail (Department & Discount) industry, but it has also influenced the consumer preferences. MAGAZ LUIZA ON can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Manufacturing automation

– MAGAZ LUIZA ON can use the latest technology developments to improve its manufacturing and designing process in Retail (Department & Discount) sector. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.

Reconfiguring business model

– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help MAGAZ LUIZA ON to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.




Threats MAGAZ LUIZA ON External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats of MAGAZ LUIZA ON are -

Trade war between China and United States

– The trade war between two of the biggest economies can hugely impact the opportunities for MAGAZ LUIZA ON in Retail (Department & Discount) industry. The Retail (Department & Discount) industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.

Environmental challenges

– MAGAZ LUIZA ON needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. MAGAZ LUIZA ON can take advantage of this fund but it will also bring new competitors in the Retail (Department & Discount) industry.

Regulatory challenges

– MAGAZ LUIZA ON needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Retail (Department & Discount) industry regulations.

Technology disruption because of hacks, piracy etc

– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.

Instability in the European markets

– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. MAGAZ LUIZA ON will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.

Increasing international competition and downward pressure on margins

– Apart from technology driven competitive advantage dilution, MAGAZ LUIZA ON can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate MAGAZ LUIZA ON prominent markets.

Aging population

– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.

Shortening product life cycle

– it is one of the major threat that MAGAZ LUIZA ON is facing in Retail (Department & Discount) sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry to Retail (Department & Discount) industry are lowering. It can presents MAGAZ LUIZA ON with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Retail (Department & Discount) sector.

High dependence on third party suppliers

– MAGAZ LUIZA ON high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.

Easy access to finance

– Easy access to finance in Retail (Department & Discount) industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. MAGAZ LUIZA ON can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

New competition

– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for MAGAZ LUIZA ON in the Retail (Department & Discount) sector and impact the bottomline of the organization.

Stagnating economy with rate increase

– MAGAZ LUIZA ON can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the Retail (Department & Discount) industry.




Weighted SWOT Analysis of MAGAZ LUIZA ON Template, Example


Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at MAGAZ LUIZA ON needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants. We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –

First stage for doing weighted SWOT analysis of MAGAZ LUIZA ON is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.

Second stage for conducting weighted SWOT analysis of MAGAZ LUIZA ON is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.

Third stage of constructing weighted SWOT analysis of MAGAZ LUIZA ON to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that MAGAZ LUIZA ON needs to make to build a sustainable competitive advantage.



--- ---

Go-Ahead SWOT Analysis / TOWS Matrix

Transportation , Misc. Transportation


Intuitive Surgical SWOT Analysis / TOWS Matrix

Healthcare , Medical Equipment & Supplies


Guangdong Huasheng Electrical A SWOT Analysis / TOWS Matrix

Technology , Electronic Instr. & Controls


Airan SWOT Analysis / TOWS Matrix

Technology , Computer Services


Zj Netsun A SWOT Analysis / TOWS Matrix

Technology , Computer Services


Plantynet SWOT Analysis / TOWS Matrix

Technology , Software & Programming


Realites SWOT Analysis / TOWS Matrix

Capital Goods , Construction Services


SIPH SWOT Analysis / TOWS Matrix

Basic Materials , Fabricated Plastic & Rubber


Hilltop SWOT Analysis / TOWS Matrix

Financial , Regional Banks


Location Sciences SWOT Analysis / TOWS Matrix

Technology , Software & Programming